Athabasca Oil (ATH) Q2 2025 earnings summary

Executive summary

• Achieved Q2 2025 production of 39,088 boe/d (98% liquids), up 4% year-over-year and trending to the high end of annual guidance, with 15% per share growth.

• Maintains a pristine balance sheet with $119MM net cash and $437MM liquidity.

• 100% of free cash flow directed to share buybacks, with $125MM repurchased YTD and fully diluted share count reduced by 21% since March 2023.

• Advanced major growth projects at Leismer and Hangingstone, with Leismer expansion on time and on budget.

Financial highlights

• Q2 2025 adjusted funds flow reached $128MM ($0.25/share FFO); cash flow from operations was $101MM.

• Q2 2025 net income was $56.9MM ($0.11/share), down from $96.1MM ($0.17/share) year-over-year.

• Q2 2025 capital expenditures totaled $73.1MM, with $54MM at Leismer.

• 2025 consolidated guidance: $525–$550MM adjusted funds flow, $325MM free cash flow.

• Market capitalization at ~$2.75B with 500MM basic shares outstanding.

Outlook and guidance

• 2025 production guidance: 37,500–39,500 boe/d, with exit rate near 41,000 boe/d.

• Leismer expansion to 40,000 bbl/d by end of 2027, with interim targets of 32,000 bbl/d in H2 2026 and 35,000 bbl/d in H1 2027; growth capital break-even below US$50/bbl WTI.

• Duvernay Energy targeting growth to ~6,000 boe/d by end of 2025, fully self-funded.

• 100% of free cash flow to be allocated to share buybacks.

• Thermal Oil production trending at the upper end of 33,500–35,500 bbl/d guidance.